New York City Council - Benchmarking

On December 9, 2009, the New York City Council adopted four local laws designed to reduce greenhouse gas emissions from buildings that exceed 50,000 square feet in size. Together, these local laws create a New York City Energy Conservation Code that requires covered buildings to:

Benchmark energy/water consumption (applicable to both commercial and multifamily building starting in 2011) for buildings over 50,000 square feet.

Perform energy audits and retro-commission base building systems (applicable to both commercial and multifamily buildings starting in 2013).

Implement lighting upgrades (applicable to both commercial and multifamily buildings by 2025).

Undertake sub-metering in tenant (applicable to commercial) spaces.

What is Benchmarking?

“Benchmarking” is the term for the annual reporting requirement to an online database benchmarking program of the United States Environmental Protection Agency. The database seeks descriptive information about a building and the total energy (fuel oil/natural gas and electricity) and water use for the building for the previous calendar year, specifically energy usage in both the common areas and tenant areas of properties.

Who must Benchmark per Local Law 84?

The law is currently applicable to any New York City commercial or residential properties 50,000 square feet or larger. It also applies to two or more buildings on the same tax lot or owned as condominiums exceeding 100,000 gross square feet.

Are there any special rules for different types of owners or special situations?

Yes. There is an important distinction made between residential and commercial properties. There are also specific reporting rules for the following: (1) multiple building on a tax lot; (2) buildings on multiple tax lots that share systems; (3) new buildings; (4) buildings with a demolition permit; and (5) buildings with a change in ownership.

What are the Reporting Deadlines?

The annual deadline for Local Law 84 submission of information is May 1of each year.

Are there any fines for late or non-compliance?

Yes. Failure to timely file is classified as a “lesser violation” of the New York City Department of Buildings Construction Codes, and will result in fines of $500 per quarter.Fines must be paid before the system will permit an owner to file a late report.INFORMA can assist in working through this process.

Record keeping Requirements

Building owners must maintain the following records for three years from May 1 deadline: